Florida Senate - 2011         (PROPOSED COMMITTEE BILL) SPB 7144
       
       
       
       FOR CONSIDERATION By the Committee on Budget
       
       
       
       
       576-02045B-11                                         20117144__
    1                        A bill to be entitled                      
    2         An act relating to the Department of Financial
    3         Services; repealing ss. 17.53 and 17.556, F.S.,
    4         relating to the Chief Financial Officer’s
    5         authorization to operate a personal check-cashing
    6         service or a remote financial service unit at the
    7         capitol and to employ additional persons to assist in
    8         performing such services; abolishing appropriations
    9         from the General Revenue Fund to pay the salaries of
   10         the additional employees; amending s. 20.121, F.S.;
   11         revising the duties of the Division of Consumer
   12         Services; amending ss. 284.01 and 284.36, F.S.;
   13         revising the criteria for premiums charged to agencies
   14         and departments for purposes of the State Risk
   15         Management Trust Fund; amending s. 284.42, F.S.;
   16         revising requirements for reports concerning the state
   17         insurance program; requiring the Division of Risk
   18         Management to analyze and report on certain agency
   19         return-to-work programs and activities; amending s.
   20         284.50, F.S.; requiring certain agencies to establish
   21         and maintain return-to-work programs for certain
   22         employees; providing program goals; requiring the
   23         Division of Risk Management to evaluate agency risk
   24         management programs; requiring reports; requiring
   25         agencies to respond to the division’s evaluation and
   26         recommendations; requiring the division to submit
   27         certain evaluation reports to the legislative
   28         appropriations committees; amending s. 440.13, F.S.;
   29         revising requirements for determining the amount of
   30         reimbursement for repackaged or relabeled prescription
   31         medication; providing limitations; amending s. 440.50,
   32         F.S.; providing for reversion of certain unencumbered
   33         and undisbursed funds to the Workers’ Compensation
   34         Administration Trust Fund; providing an effective
   35         date.
   36  
   37  Be It Enacted by the Legislature of the State of Florida:
   38  
   39         Section 1. Section 17.53, Florida Statutes, is repealed.
   40         Section 2. Section 17.556, Florida Statutes, is repealed.
   41         Section 3. Paragraph (h) of subsection (2) of section
   42  20.121, Florida Statutes, is amended to read:
   43         20.121 Department of Financial Services.—There is created a
   44  Department of Financial Services.
   45         (2) DIVISIONS.—The Department of Financial Services shall
   46  consist of the following divisions:
   47         (h) The Division of Consumer Services.
   48         1. The Division of Consumer Services shall perform the
   49  following functions concerning products or services regulated by
   50  the department of Financial Services or by either office of the
   51  Office of Insurance Regulation Financial Services Commission:
   52         a. Receive inquiries and complaints from consumers.
   53         b. Prepare and disseminate such information as the
   54  department deems appropriate to inform or assist consumers.
   55         c. Provide direct assistance and advocacy for consumers who
   56  request such assistance or advocacy.
   57         d. With respect to apparent or potential violations of law
   58  or applicable rules by a person or entity licensed by the
   59  department or by either office of the commission, report such
   60  apparent or potential violations violation to the office or the
   61  appropriate division of the department or office of the
   62  commission, which may take such further action as it deems
   63  appropriate.
   64         e. Designate an employee of the division as primary contact
   65  for consumers on issues relating to sinkholes.
   66         2. Any person licensed or issued a certificate of authority
   67  by the department or by the Office of Insurance Regulation shall
   68  respond, in writing, to the Division of Consumer Services within
   69  20 days after receipt of a written request for information from
   70  the division concerning a consumer complaint. The response must
   71  address the issues and allegations raised in the this complaint.
   72  The division may, in its discretion, impose an administrative
   73  penalty for failure to comply with this subparagraph of in an
   74  amount up to $2,500 per violation upon any entity licensed by
   75  the department or the office of Insurance Regulation and $250
   76  for the first violation, $500 for the second violation, and up
   77  to $1,000 per violation thereafter upon any individual licensed
   78  by the department or the office of Insurance Regulation.
   79         3. The department may adopt rules to administer implement
   80  the provisions of this paragraph.
   81         4. The powers, duties, and responsibilities expressed or
   82  granted in this paragraph do shall not limit the powers, duties,
   83  and responsibilities of the Department of Financial Services,
   84  the Financial Services Commission, the Office of Insurance
   85  Regulation, or the Office of Financial Regulation set forth
   86  elsewhere in the Florida Statutes.
   87         Section 4. Subsection (5) of section 284.01, Florida
   88  Statutes, is amended to read:
   89         284.01 State Risk Management Trust Fund; coverages to be
   90  provided.—
   91         (5) Premiums charged to agencies for coverage shall be
   92  adopted promulgated on a retrospective rating arrangement based
   93  upon actual losses accruing to the fund and loss prevention
   94  results, taking into account reasonable expectations,
   95  maintenance, and stability of the fund and cost of reinsurance.
   96         Section 5. Section 284.36, Florida Statutes, is amended to
   97  read:
   98         284.36 Appropriation deposits; premium payment.—Premiums
   99  for coverage by the State Risk Management Trust Fund as
  100  calculated on all coverages shall be billed and charged to each
  101  state agency according to coverages obtained by the fund for
  102  their benefit, and such obligations shall be paid promptly by
  103  each agency from its operating budget upon presentation of a
  104  bill therefor. After the first year of operation, premiums to be
  105  charged to all departments of the state are to be computed on a
  106  retrospective rating arrangement based upon actual losses
  107  accruing to the fund and loss prevention results, taking into
  108  account reasonable expectations, the maintenance and stability
  109  of the fund, and the cost of insurance.
  110         Section 6. Subsection (1) of section 284.42, Florida
  111  Statutes, is amended to read:
  112         284.42 Reports on state insurance program.—
  113         (1)(a) The Department of Financial Services, with the
  114  Department of Management Services, shall conduct make an
  115  analysis of the state insurance program each year and submit the
  116  results on or before January 1 in a report to the Governor, the
  117  President of the Senate, and the Speaker of the House of
  118  Representatives annually, which shall include:
  119         1.(a) Complete underwriting information as to the nature of
  120  the risks accepted for self-insurance and those risks that are
  121  transferred to the insurance market.
  122         2.(b) The funds allocated to the Florida Casualty Risk
  123  Management Trust Fund and premiums paid for insurance through
  124  the market.
  125         3.(c) The method of handling legal matters and the cost
  126  allocated.
  127         4.(d) The method and cost of handling inspection and
  128  engineering of risks.
  129         5.(e) The cost of risk management service purchased.
  130         6.(f) The cost of managing the State Insurance Program by
  131  the Department of Financial Services and the Department of
  132  Management Services.
  133         (b) Beginning January 1, 2013, the Division of Risk
  134  Management shall include in its annual report an analysis of
  135  agency return-to-work efforts, including, but not limited to,
  136  agency return-to-work program performance metrics and a status
  137  report on participating return-to-work programs. The report
  138  shall specify benchmarks, including, but not limited to, the
  139  average lost-time claims per year, per agency; the total number
  140  of lost claims; and specific agency measurable outcomes
  141  indicating the change in performance from year to year.
  142         Section 7. Subsections (3) and (4) are added to section
  143  284.50, Florida Statutes, to read:
  144         284.50 Loss prevention program; safety coordinators;
  145  Interagency Advisory Council on Loss Prevention; employee
  146  recognition program.—
  147         (3) All agencies that are provided workers’ compensation
  148  insurance coverage by the State Risk Management Trust Fund and
  149  that employ more than 3,000 full-time employees shall establish
  150  and maintain return-to-work programs for employees who are
  151  receiving workers’ compensation benefits. The programs shall
  152  have the primary goal of enabling injured workers to remain at
  153  work or return to work to perform job duties within the physical
  154  or mental functional limitations and restrictions established by
  155  the workers’ treating physicians. If no limitation or
  156  restriction is established in writing by a worker’s treating
  157  physician, the worker shall be deemed to be able to fully
  158  perform the same work duties he or she performed before the
  159  injury.
  160         (4) The Division of Risk Management shall evaluate each
  161  agency’s risk management programs, including, but not limited
  162  to, return-to-work, safety, and loss prevention programs, at
  163  least once every 5 years. Reports, including, but not limited
  164  to, any recommended corrective action, resulting from such
  165  evaluations shall be provided to the head of the agency being
  166  evaluated, the Chief Financial Officer, and the director of the
  167  Division of Risk Management. The agency head must provide to the
  168  Division of Risk Management a response to all report
  169  recommendations within 45 days and a plan to implement any
  170  corrective action to be taken as part of the response. If the
  171  agency disagrees with any final report recommendations,
  172  including, but not limited to, any recommended corrective
  173  action, or if the agency fails to implement any recommended
  174  corrective action within a reasonable time, the division shall
  175  submit the evaluation report to the legislative appropriations
  176  committees.
  177         Section 8. Paragraph (c) of subsection (12) of section
  178  440.13, Florida Statutes, is amended to read:
  179         440.13 Medical services and supplies; penalty for
  180  violations; limitations.—
  181         (12) CREATION OF THREE-MEMBER PANEL; GUIDES OF MAXIMUM
  182  REIMBURSEMENT ALLOWANCES.—
  183         (c) As to reimbursement for a prescription medication,
  184  regardless of the location or provider from which the claimant
  185  receives the prescription medication, the reimbursement amount
  186  for a prescription shall be the average wholesale price plus
  187  $4.18 or as provided in s. 110.12315(2)(c), whichever is lower,
  188  for the dispensing fee, unless except where the carrier has
  189  contracted for a lower amount. The reimbursement amount for a
  190  drug that has been repackaged or relabeled shall be calculated
  191  by multiplying the number of units dispensed times the per-unit
  192  average wholesale price set by the original manufacturer of the
  193  underlying drug, which may not be the manufacturer of the
  194  repackaged or relabeled drug, plus $4.18 or as provided in s.
  195  110.12315(2)(c), whichever is lower, for a dispensing fee,
  196  unless the carrier has contracted for a lower amount. The
  197  repackaged or relabeled drug price may not exceed the amount
  198  otherwise payable had the drug not been repackaged or relabeled.
  199  Fees for pharmaceuticals and pharmaceutical services shall be
  200  reimbursable at the applicable fee schedule amount. Where the
  201  employer or carrier has contracted for such services and the
  202  employee elects to obtain them through a provider not a party to
  203  the contract, the carrier shall reimburse at the schedule,
  204  negotiated, or contract price, whichever is lower. No such
  205  contract shall rely on a provider that is not reasonably
  206  accessible to the employee.
  207         Section 9. Subsection (5) is added to section 440.50,
  208  Florida Statutes, to read:
  209         440.50 Workers’ Compensation Administration Trust Fund.—
  210         (5) Funds appropriated by an operating appropriation or a
  211  nonoperating transfer from the Workers’ Compensation
  212  Administration Trust Fund to the Department of Education, the
  213  Agency for Health Care Administration, the Department of
  214  Business and Professional Regulation, the Department of
  215  Management Services, the First District Court of Appeal, and the
  216  Justice Administrative Commission remaining unencumbered as of
  217  June 30 or undisbursed as of September 30 each year shall revert
  218  to the Workers’ Compensation Administration Trust Fund.
  219         Section 10. This act shall take effect July 1, 2011.